Office tower first cab off the rank in "new" North Melbourne

By marc pallisco

March 10, 2018 — 12.00am

A 13-storey office with supersized floorplates may be the first investment-grade asset built in the proposed precinct known in planning circles as Arden, but which will eventually be the new North Melbourne.

A private sector application to construct the 32,329 square metre building at 86-108 Laurens Street, is being reviewed by planning minister Richard Wynne.

Until recently a poultry feed mill, the site is in a low-rise pocket between Dynon Road and the North Melbourne Football Club Recreation Centre, about 1.5 kilometres from the CBD.

The site in Laurens Street North Melbourne.

The proposed 43 metre tall building would stand next door to the “Is Don is Good” silos, arguably the precinct’s most distinctive landmark.

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Substantial land tracts in this area are controlled by the government including the ex-Laurens Hall hospitality venue, which will be the entrance to a new train station, part of the $11 billion Metro Rail Project, which started construction last year.

In November it was revealed this new station would be known as North Melbourne – ending a planning anomaly (the current North Melbourne station is actually in West Melbourne, which will be renamed to reflect that).

Longer term, it is expected public sites in the area will be subdivided and sold to high rise developers.

Land values in the pocket have experienced a surge, agents speculate, since 86-108 Laurens Street, covering 2675 square metres, last sold in late 2014 for $2.94 million.

Lovely Banks farm selling

A 33 hectare parcel of land in Lovely Banks, in northern Geelong, is selling following a campaign targeting “volume” residential builders.

The site is next door to a proposed Westbourne Grammar campus. Last year, Bacchus Marsh Grammar abandoned plans to build a new campus, Staughton Vale, in the area, following, it said, a lack of support by the local council.

Former planning minister Matthew Guy fast tracked the residential rezoning of land in Lovely Banks four years ago.

In 2015, two blocks within that revised Urban Growth Boundary, and totalling 60 hectares, sold for a total of $20 million to developers.

RE/MAX Property Specialist’s Ross Eva, Vincent Golf and David Cheng marketed the latest block in Anakie Road, but declined to comment on any part of the campaign when contacted.

But other agency sources say land in the area is worth about $500,000 per hectare – suggesting a site sale value of around $16.5 million.

Marketed for its potential to make way for around 500 suburban housing lots, the sloping site has vistas to Barrabool Hills.

New chapter for East West house

At least one developer has faith the proposed East-West Link, in its previous form, is not coming back – lodging plans to build townhouses on a site acquired from the Andrews government four months ago.

The 81 Manningham Street site is near the Evo apartment complex, which the government has also been trying to sell since last year. These properties were compulsorily acquired by the Napthine government as part of the proposed former roadway which would have connected the Tullamarine freeway to the Eastern.

It was also one of the highest profile “East-West homes” to become occupied by squatters, prior to the Andrews government demolishing and selling. Four townhouses are now mooted for the 585 square metre site.

OHV consolidates in Footscray

Odyssey House Victoria has leased an workspace in Nicholson Street, Footscray – a suburban office pocket with a high concentration of community service related operations.

The government funded OHV, which provides training and rehabilitation programs, is paying a starting rent of $200,000 per year for a 788 square metre space at Level 1, 202-208 Nicholson Street.

The lease, negotiated by Fitzroys’ Stephen Land, will see OHV consolidate from several other western suburb offices. It will have Carers Victoria as a neighbour – that group leases offices on the first floor. The not-for-profit Asylum Seeker Resource Centre also has a large office at nearby 214-218 Nicholson Street.

Another Prospect Street deal

Another Chinese developer is joining the Box Hill high rise building boom paying $8.25 million for a 1004 square metre block at 13 Prospect Street.

Another develop joins the rush to build high-rise in Box Hill.

The vendor bought the block two decades ago – and occupied it as a low-rise family home. This time around, it was offered for its potential to make way for a 25-level plus apartment building. Currently a car park leased on a month to month basis, the Commercial 1 zoned land is 14 kilometres east of the CBD in central Box Hill, which now has towers of 36 storeys.

Coincidentally, China-backed builders have bought two neighbouring properties recently: 9-11 Prospect Street, for $17.6 million, in December 2016, and 15-17 Prospect Street, for $12.2 million, in mid-2017. Nearby, a fourth China backed developer bought a block at 31-35 Prospect Street for $13.5 million last August.

Agency Savills has sold all the properties. Factoring sites outside of Prospect Street, directors Nick Peden, Clinton Baxter and Jesse Radisich said 12 blocks, worth more than $133 million, have exchanged in the past 18 months.

Six figures for charities

One of the property industry’s biggest fundraising days has raised more than $100,000 for the Lighthouse Foundation, Melbourne City Mission and Whitelion Australia. The Property Industry Foundation event, a sailing day, saw 38 yachts cover Brighton Beach last Friday. Attendees included Lisa Darmanin and Jason Waterhouse, silver medal winners at Rio, and John Bertrand AO, America’s Cup winning skipper.

Twenty storey corner

An ex-Shell petrol station at the corner of Spencer and Batman streets, in West Melbourne, which was listed for sale last year for about $14 million, is mooted to make way for a 20-storey apartment building.

Coincidentally, all four properties at this junction, are now earmarked for 20-level residential buildings.

The latest application affecting the service station site at 404-418 Spencer Street, on the north-east corner of Batman Street, seeks to develop 177-units – a mix of one and two bedrooms.

Council has approved a 20-storey building for a site at the north-west corner known as 405-407 Spencer Street. A car park site at the south-west intersection, and the remaining corner, opposite, known as 396-400 Spencer Street, also carry approval for 20-storey towers, according to the application lodged regarding the former Shell-owned site.

Developer Vicland paid $29 million for a 2250 square metre block next door to 404-418 Spencer Streetin 2015. On it, a 38-storey building has been developed.